Patrick Hosking
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The Office for National Statistics is no stranger to controversy, whether it is duelling with ministers over knife crime data or pitching into the immigration debate. Earlier this week it accidentally released unemployment statistics a day early. It is now trying to get to grips with its controversial retail sales data - crucial information on sentiment on the high street. Crucial, except in one small particular: fewer and fewer people believe the numbers any more.
Since last year the ONS figures have painted a far rosier picture than the reality in the shops, according to retailers. They clash with rival data from the CBI and the British Retail Consortium. Even the Bank of England had started to doubt their reliability.
Yesterday the ONS announced major changes to its methodology. Applied to past numbers it immediately had the effect of dramatically reducing sales growth.
Not before time. Who knows, if the reform had been in place last year, economic activity would have looked more subdued and the Bank might have started cutting interest rates a bit earlier.
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